Suzie, Home Buyer in Clinton Township, MI

My boyfriend does not like to pay income tax. Is this risky to our relationship and what happens to him?

Asked by Suzie, Clinton Township, MI Fri Sep 14, 2007

I have been with my boyfriend for two years and he does not pay his income tax. He got 1099's from employment agencies and has not filed them. I have told them he is gonna get caught one day and in trouble. He does not think he'll get caught. What should I do?

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19
What your boyfriend is missing is the point. By not filing his income tax - he is a ticking time bomb. Every second that ticks away - is a second of interest that the government is accumulating against him. This type of debt doesn't go away.

My advice to you is to tell him to get with it - gather all documentation on expenses incurred for his business (1099 implies he is a dba or is self employed) - because many expenditures are tax deductible.

Get to a REALLY good CPA and let him/her deal with the filing and the paperwork. This is going to be out of both your realms.

His credit will be affected by this - and also big news - he doesn't have to file for the MAN to know he made the money. The person filing the 1099 also files a copy with the Internal Revenue Service.

Granted they are pretty slow - but they will catch up with him and wait till you see the fees and penalties.

The MAN knows he made that money & exactly how much - and it better jive once he grows up and sends it in. It's called tax evasion & it is prosecutable. Just ask Leslie Snipes.

Whether you marry him or not - you are his significant other - and if you are co-habitating you will be affected by his financial burdens - because in some way or another you will be picking up the slack.

You cannot hide from the MAN - Please reiterate this to him.

I am not a CPA - I am only a humble Real Estate Agent - I am self employed and have been for almost 10 years.

I have consulted for and represented clients to the IRS - they (the IRS) are a joy to work with..... But you don't want to, trust me.

What should YOU do? Be aware, be diligent, and be ready deal with the man knocking at your boyfriends' door. Don't wait any longer. I will not tell you what to do with your life - but I will tell you to strongly advise your boyfriend that this doesn't go away just because he wants to be an ostrich.
3 votes Thank Flag Link Fri Sep 14, 2007
Why are people answering this question? It is clearly not appropriate for this forum.
2 votes Thank Flag Link Mon Jan 21, 2008
original posting was Fri Sep 14 2007, 06:25 ......?



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2 votes Thank Flag Link Mon Jan 21, 2008
Ute missed one thing,
Put your foot down...... on his throat!
2 votes Thank Flag Link Fri Sep 14, 2007
Mr.P, Other/Just Looking in Arizona
MVP'08
To address Nadia's question about whether this posting is relevant, I'd say it is. I'm not a lawyer, but... The IRS could put a lien on any real estate owned by the boyfriend in its attempt to collect past due taxes. And if the girlfriend has an ownership interest in the property--whether she's married to the guy or not--her/their property would have been seized by the IRS. To that extent, the question is relevant.
1 vote Thank Flag Link Fri Jan 25, 2008
Don Tepper, Real Estate Pro in Fairfax, VA
MVP'08
Contact
No one is required to pay taxes. Might sounds crazy, but watch this:
http://video.google.com/videoplay?docid=-1656880303867390173
0 votes Thank Flag Link Sun Jan 27, 2008
The IRS is nabbing "dead beats" every day....Why does he think he's any different. If he doesn't adjust, I would definitely create some distance from him....unless you don't mind being part of this maddness.
0 votes Thank Flag Link Fri Jan 25, 2008
That is not a smart thing. There are always 2 options to his tax situation, first he could owe & maybe thats why he is concerned & doesnt file, but he ALSO, could be owed back money. The IRS will take interest, but they dont give interest. Tell your boyfriend to head to H&R Block and file an amended prior years and file this year. Its gonna catch up.
Even if you are owed, you still legally have to turn in a filing.
0 votes Thank Flag Link Mon Jan 21, 2008
He should file and file now. The longer he waits, the higher those IRS penalties will grow. And if he received 1099’s, I guarantee it will only be a matter of time before he receives a certified letter from the IRS – and that’s not a good thing Martha.

Wesley Snipes, the actor, now faces 16 years in prison for tax evasion. So ask your boyfriend if he thinks he looks good in pinstripes.
http://buzz.yahoo.com/buzzlog/86995/tax-man-snipes

And forget about ever being able to buy a house, even if you were to pay cash. The law requires businesses to file a report with the IRS on anyone who is involved in a cash transaction involving more than $10,000.

Frank
0 votes Thank Flag Link Mon Jan 21, 2008
Pardon the french, but you have to DTMFA.
0 votes Thank Flag Link Mon Jan 21, 2008
Hi. I agree with everyone else's advice: He is on very thin Ice! Thinking he won't get caught is just plain
stupid, as income from his 1099's are reported directly to the IRS automatically by the company that
sends him the 1099's. The company is required by law to send his income information to the IRS. Personally, I went two years without filing income taxes--then decided not to take anymore risks and I
called the IRS and asked them what should I do to bring my taxes current? The penalties are usually
less harsh, and he will avoid jail time, if he voluntarily brings his taxes current--with the help of a qualified
CPA. If it turns out, he owes a hefty sum, the IRS will allow him to make monthly payments. He needs to inquire about IRS taxpayer amnesty. Remember, IRS taxpayer amnesty will not eliminate his legal obligation to pay his back taxes but it beats going to jail. If this guy still refuses to pay income taxes, you have to ask yourself: What else is he being dishonest about??? If he refuses to do the right thing and accepting his financial obligation to
the government, you are better off without him! Whatever you do, do not marry him unless he is willing
to PROVE to you he has filed past-due tax reports, made payment arrangements with the IRS, and above
all--has shown a long-term willingness to fulfill his income tax obligation. Make him show you the proof--
don't just take his word for it. If he refuses to show you proof of a satisfactory arrangement with the IRS,
followed by payments made on time--then dump him. He is not the only fish in the sea! BTW: If you
make a repayment arrangement with the IRS and miss just one payment--the entire balance becomes
due and payable, with interest and penalties added on by the IRS. Good Luck!
0 votes Thank Flag Link Mon Jan 21, 2008
Suzie,
Why doesn't he want to pay income tax? I think that answer might tell you a whole lot about the person you are with.

Good luck,
Rita
0 votes Thank Flag Link Sat Sep 15, 2007
If he's getting a1099, it won't take the IRS very long to catch up with him.
0 votes Thank Flag Link Fri Sep 14, 2007
Suzie....

This is a pretty scarey situation. The IRS is like an elephant....they are slow but when they come down, they come down hard. It is only a matter of time before he gets caught.

As long as you are not married to the gent you are fine. Take a look at his sense of responsibility before making any long term committments here.

Good luck, wise your lady.
0 votes Thank Flag Link Fri Sep 14, 2007
Pam Winterba…, Real Estate Pro in San Ramon, CA
MVP'08
Contact
Nobody "likes" paying income tax but everyone likes to have the things it pays for. You know, those things like roads, government services, etc.

I tell me little 16 year old sister that that there are guys who do stupid things and she'll know what they are when they pop up. It's that funny little feeling your body has when they show thier head. This would be one of them. Dump him.... He's an average frustrated chump that is heading down a path of destruction.
0 votes Thank Flag Link Fri Sep 14, 2007
You will not be held responsible as long as you aren't married- so don't marry the guy! And discuss with him how often he wants you to come visit him in prison.
Until he is caught, he has the opportunity to move forward, contact the IRS, beg forgiveness/ throw himself on their mercy and set up a payment plan to pay back taxex, penalties and interest. Every year means more cost and more jail time. Good Luck!
0 votes Thank Flag Link Fri Sep 14, 2007
In addition to legal ramifiactions, if he's not filing, he's could have a tough time showing income to qualify for a loan.
0 votes Thank Flag Link Fri Sep 14, 2007
More than 50% of people will be audited in their lifetime. There will inevitably be repercussions to your boyfriend which could include liens on your property, garnishments on your paycheck, lawsuits, and even jail time. He is in fact "breaking the law". Your credit, finances, and life in general would be literally destroyed because he chose to ignore a piece of federal legislation.
0 votes Thank Flag Link Fri Sep 14, 2007
You are right. It will catch up with him. My advice is don't marry him. Nobody likes paying taxes. I'd tell him to grow up. Sorry if this sounds harsh, but he sounds irresponsible. You don't do him a favor if you don't put your foot down.
Web Reference: http://www.go2kw.com
0 votes Thank Flag Link Fri Sep 14, 2007
Ute Ferdig -…, Real Estate Pro in Newcastle, CA
MVP'08
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